A Polish company acquired the Bulgarian real estate platform Flat Manager

The Polish company Renters.pl, the largest operator of vacation properties in Central and Eastern Europe, has acquired a majority share of 82% in the leading Bulgarian company in the sector - Flat Manager.

This is the first international deal carried out by the Polish property management company, which aims to consolidate the market across the region, with the support of the private equity fund Enterprise Investors.

Flat Manager will continue to grow its portfolio of properties in Bulgaria, and with the help of Renters will attract Polish tourists and companies looking for corporate accommodation," states the Bulgarian company’s report.

The price of the deal remains a secret, Flat Manager told Economic.bg.

What is Renters.pl?

The Polish company was founded in 2005. At the beginning of 2023, the equity investment fund Enterprise Investors bought a majority stake in it and increased its capital with the aim of consolidating the market in Central and Eastern Europe, through acquisitions of local operators.

Following several successful deals in Poland, Renters has seen significant organic growth in the number of properties under its management, strengthening its position as a leader in that country’s market, with a portfolio of over 4,000 apartments.

The company's first international deal is the acquisition of its peer in the Balkans - Flat Manager. The Bulgarian company was founded by Boris Pavlov, who in 2017 returned to Bulgaria after living abroad and started renting out a studio apartment in Sofia’s Geo Milev district through Airbnb. This small side venture turned into a business, which attracted its current executive director Kamen Manev as a partner.

For these 7 years, we have been able to prove that the most valuable asset of a company is its team. I am happy that in Renters.pl and Enterprise Investors we have found people who share this vision and with whom Flat Manager will undoubtedly reach new heights," says Boris Pavlov, who remains on the company's board of directors.

Today, Flat Manager manages nearly 600 apartments in 14 cities and resorts throughout Bulgaria, with the majority of properties being rented out short-term, through platforms such as Airbnb and Booking.com. Similar to Renters in Poland, the company is the first and largest Bulgarian partner of Homes & Villas by Marriott Bonvoy, the short-term apartment rental platform of the world leader in hospitality.

What will be the effect of the deal?

Thanks to the transaction, Flat Manager will attract new corporate clients from Poland and will position itself as a preferred operator for Polish tourists, who in recent years have been the main incoming market for Bulgarian tourism.

With this deal, we not only increase our portfolio, but also get valuable know-how, experience from the Bulgarian market and fantastic partners," says Kamil Krzyzanowski, CEO of Renters.pl.

In the wake of the deal, there is another spin-off from the Bulgarian innovative vacation rental operator. We are talking about Flatimo, which aims to digitize brokerage services for long-term rentals and sales of real estate. The new company is headed by Flat Manager's operational director Nevena Borisova, whose focus in the last year has been the development of Flatimo services, with the support of Georgi Pavlov and the Bulgarian proptech fund 3P1.

Translated by Tzvetozar Vincent Iolov